Economic patriotism (recently reinforced as New Economic Patriotism) is a term used to describe the practice of making economic decisions that prioritize certain groups, businesses, or industries based on their regional status. It involves favoring the interests of a specific region over personal interests and implies a moral obligation to the community that supersedes obligations to those outside of it. Economic patriotism can encompass different geographical areas and can involve transfers between various levels of economic affinity.
Economic patriotism is not limited to protectionism and can include a variety of policy approaches, from protectionist measures to market opening strategies. Unlike economic nationalism, economic patriotism emphasizes supporting and promoting one’s own region’s economy without abandoning strategic trade or foreign direct investment and without severely restricting immigration.
In recent years, the concept of New Economic Patriotism (NEP) has gained traction, emphasizing the importance of a nation's productive capabilities for its security, stability, and overall well-being. New Economic Patriotism promotes the idea that nations can build sustainable and inclusive economies without engaging in zero-sum competition or disfavoring other countries' development. Its strategy involves prioritizing domestic production, and investing in diverse industries and regions.
Overview
Economic patriotism, as defined by Ben Clift and Cornelia Woll, refers to making economic decisions that give priority to certain groups, businesses, or industries based on their regional status. It entails a form of partiality in economic matters, where the interests of a specific region are given greater consideration than personal interests. Economic patriotism implies that people have a moral obligation to their community that surpasses their responsibilities to those outside of it. It is not limited to protectionism and can encompass various geographical areas, from local to national and regional. Economic patriotism encompasses a wider scope than economic nationalism and is flexible in its definition of the unit of allegiance. It also involves transfers between various levels of economic affinity, including the supranational and subnational levels. Economic patriotism can encompass a variety of policy approaches, from protectionist measures to market opening strategies. Policymakers play a crucial role in providing incentives for growth and supporting favorable competition policies.
In the context of financial control over industrial groups, the concept of economic patriotism has emerged as a means of safeguarding a country's vital economic interests. However, the regional or sometimes multinational nature of these groups makes it challenging to establish a direct link with a specific state. This poses a problem when attempting to apply the principle of economic patriotism to these entities. Despite this, calls for economic patriotism persist due to the perceived threat to a country's economic interests. The sensitivity of the energy sector, in particular, has highlighted the need for collective action at a regional level. Issues with Russian gas exports have served as a reminder that European interests and vulnerabilities extend beyond national borders.
New Economic Patriotism
US Representative Ro Khanna has advocated for a "New Economic Patriotism" plan to restore American manufacturing and technology leadership, and to respect workers who will help achieve that goal. Khanna asserts that the country's failed trade policies with China have led to the loss of millions of good-paying jobs and disproportionately harmed both urban Black and rural small city manufacturing workers. He argues that the federal government should partner with the private sector to finance upgrading factories in manufacturing regions with low or zero-interest loans. He encourages investing in the next generation of workers, and providing grants to support new manufacturing process innovation and productivity enhancements. The plan would also establish a National Economic Development Council to bring together different agency heads, economists, and business and education leaders to ensure that key components of supply chains are done in the US or cooperating partners. Khanna argues that this plan is not just about creating jobs but also unifying regions of Americans with a renewed shared purpose.
